German telecommunications giant Deutsche Telekom has revealed a £625 million sterling nine-month loss.
The company says its results were hit by the £562 million cost of buying up 3G licences.
The loss compares to a profit of £5.28 billion in the same period a year ago.
Sales rose to £21.8 billion from £18.25 billion a year ago, which reflected its expansion into the US last year with the purchase of VoiceStream and PowerTel last year.
Deutsche Telekom says it cut net debt by £3.6 billion to £40.7 billion in the September quarter.
The firm says earnings were boosted by the addition of US mobile phone operator VoiceStream Wireless, but the cost of that acquisition is also the main factor in the firm's growing loss.
Deutsche Telekom said the loss won't affect its plans to pay a dividend for 2001.
PA